PSA Japan Weekly research round-up for the week ending May 19th:
Declining profitability but stable pricing for smartphones suggests a rising bill of materials and implies a swing in business power away from the handset makers to the supply chain operators. However, this has not been how the market has seen it, as several names in the supply chain have been shares sold off.......
Reports/Flash Notes: Headlines at a Glance (full reports available upon request):
1. Technology: Canon (7751) – Responding to the Wake-Up Call
2. Internet: Trend Micro (4704) – Will Japanese Investors Recognise it as a Cyber Security Play?
3. Chemicals: Sumitomo Chemical (4005) – Guides for Peak Earnings in FY17
4. Chemicals: Nissan Chemical (4021): Results Meeting Feedback – Investor and Environmentally Friendly
Company / Sector / Thematic Comments at a Glance (Please ask for more details):
Technology: Consumer Electronics / Gaming
1. Nintendo (7974): Games for Switch, Speculation on Zelda for Mobile, Weak Switch Sales
2. Sony (6758): PSVR-required Farpoint is Launched / Management Changes
3. Sega Sammy (6460): Priced as if FY16's Performance Was the Norm
4. The Outlook for Video Game Makers with Exposure to Asia and Mobile Remains Strong